Another credit observation

Mominohio · ‎08-08-2010

So as not to stray the other thread on credit too far off track, I was wondering as one poster mentioned there, how many people use those 0% interest promotions to buy big items (cars, furniture, home repairs or remodeling)?

I know we have many times over the years. The companies we are buying from don't offer a reduced price for paying cash up front, so I usually choose to take their 6, 12, or 18 month interest free financing option.

We always pay on or before the due date, and in my opinion is better than paying cash, as we can leave the money in the bank in case some unexpected emergency would arise and need that money for something else.

Opinions and views from others?

momtochloe · ‎11-03-2013

@Mominohio wrote:
So as not to stray the other thread on credit too far off track, I was wondering as one poster mentioned there, how many people use those 0% interest promotions to buy big items (cars, furniture, home repairs or remodeling)?

I know we have many times over the years. The companies we are buying from don't offer a reduced price for paying cash up front, so I usually choose to take their 6, 12, or 18 month interest free financing option.

We always pay on or before the due date, and in my opinion is better than paying cash, as we can leave the money in the bank in case some unexpected emergency would arise and need that money for something else.

Opinions and views from others?

Thanks for this @Mominohio as again that was my thought exactly. I paid off the furniture a year early so I figured that would be a good thing(?) and that is why I closed the account as soon as the final payment cleared.

Sigh . . . I am getting too old for all of this credit stuff . . .

GCR18 · ‎07-03-2013

I opened a Sears card when I bought a lawn tractor a couple years ago. I had 18 months zero interest.

Mominohio · ‎08-08-2010

@momtochloe

I do understand! My mom is getting so she doesn't want to take advantage of any credit offer for fear of making a mistake or signing on to something she doesn't understand.

And it seems that everywhere you go, someone is pushing credit on you.

While we do love those 0% interest offers for major purchases, I have gotten to the point that I don't really like to "open their line of credit to save 15% on today's purchases" or other similar offers for smaller purchases. It can often be too much hassle for the amount saved.

momtochloe · ‎11-03-2013

@Mominohio wrote:
@momtochloe

I do understand! My mom is getting so she doesn't want to take advantage of any credit offer for fear of making a mistake or signing on to something she doesn't understand.

And it seems that everywhere you go, someone is pushing credit on you.

While we do love those 0% interest offers for major purchases, I have gotten to the point that I don't really like to "open their line of credit to save 15% on today's purchases" or other similar offers for smaller purchases. It can often be too much hassle for the amount saved.

Tee hee actually @Mominohio I could be your mom as when I signed on for that line of credit I didn't realize it was being financed through Wells Fargo (and please before anyone yells at me that I should have better read the paperwork yes I know that now but since I don't open many if any lines of credit I was still operating back in the old days. Lesson learned).

Sigh.

deepwaterdotter · ‎03-09-2010

Unless we choose to purchase a different home, all purchases are cash. Paying cash is a luxury we worked many years to enjoy.

SilleeMee · ‎05-22-2016

If I need to buy a high-priced item then I always look to get 0% financing. If it's not offered for that item then I'm down the road to the next store who will give me that option. I don't make enough money to pay-in-full. Financing is the ONLY way I can affford the things I need.

elated · ‎06-09-2010

I have used a 0% credit card and paid it off before expiration date of the offer.. This is just like using cash because you do not have any interest and you can pay the balance off at any time before the offer ends. I think this is a great way to pay. It also helps with your FICO score showing that you pay your accounts on time.

KathyPet · ‎03-09-2010

I take these offers whenever I can get them for large purchases like appliances, furniture and the like. You do have to be very disciplined and make absolutely sure the balance is paid in full by the end of the interest free period. They are a great deal as long as you can do that. As soon as the balance is paid in full I close the account as I do not want these type of store accounts showing as open on my credit report.

I do get tired of being solicited for store credit cards when shopping. JCP is the worst for this. Last week I got the usual pitch to open a JCP credit card when being rung out because "you can get a 10% discount on your purchase". Oh Boy, Oh Boy! That will be $3.00 saved!